Commentary and analysis on markets, personal finance, and wealth building from a contrarian perspective. "I believe in the discipline of mastering the best that other people have ever figured out. I don’t believe in just sitting there and trying to dream it up all yourself. Nobody’s that smart."
— Charlie Munger

Pages

Tuesday, November 1, 2016

South America becoming worlds top natural gas play

I’ve been writing over the last several months about the
world’s top natural gas play — the growing
demand center of Argentina.

And this week, things got even tighter in terms of supply
here. Making the entire region more attractive for producers.

That became apparent from a critical piece of news emerging
over the weekend in Argentina’s neighbor to the northwest: Boliva. Where lifeline
exports of natgas into the Argentinean market are apparently dwindling
fast.

Argentina has huge shale oil and gas potential. I am hopeful that after the recent election the pro market economy government will be able to put policies into place that will benefit the economy and the oil and gas sector in particular.

I am still a holder of Madelana Energy which has a huge acreage position in the Vaca Muerta shale. I have not heard a lot of news out of the company recently but as this area is one of most promising shale plays in the world I would expect activity to pick up with oil prices.